From Lateef Taiwo
The Ad Hoc Committe has fixed 10th and 12 September, 2024 for the commencement of the investigations into the alleged sabotage in the Nigerian petroleum industry.
Senator Opeyemi Bamidele, the senate leader and Chairman of the Ad-hoc Committee disclosed this while briefing the Senate press Corps on Thursday, in Abuja, saying that the
that ” the Senate is aware that the Petroleum industry has been on the front burner of public discourse since the creation of this Ad-Hoc Committee, as regulators and industry players continue to make one accusation or the other on various issues relating to the general operations of the Petroleum Industry. Hence, the need for this press conference to educate the general public on the mandates, workings, and of course the modalities adopted by the Ad-Hoc Committee to carry out this assignment”
According to the Ad Hoc Committe”The creation of this Ad-Hoc Committee became overwhelmingly necessary after an extensive debate on the floor of the Senate on Wednesday, July 3, 2024, following a motion on Alleged Economic Sabotage in the Petroleum Industry sponsored by Senator Asuquo Ekpenyong (Cross River South) with a clear mandate. My very respected Gentlemen of the Press, it will interest you to note that during debate on the motion, Distinguished Senators, in their contributions”
The Committee”expressed dismay and described it as economic sabotage and a clear failure of the Government Statutory Agencies charged with the responsibility of safeguarding the nation’s economic interest, to live up to their expectations. Hence, an Ad-Hoc Committee.was constituted to conduct a comprehensive investigation into all the prayers and report to the Senate within three (3) weeks. For the avoidance of doubt, the Terms of Reference of the Ad-Hoc Committee include:”
(a) Examine the pre-shipment and pre-discharge standard test parameters adopted by the Nigerian Midstream and Downstream Regulatory Authority with a view to uncovering loopholes, if any, being exploited to get toxic cargoes into the country;
(b) Determine the level of compliance of the NNPCL’s Direct Sale and Direct Purchase (DSP) arrangements in line with the provisions of the Petroleum Industry Act, including the extent of transparency and accountability in the
(c) Beam legislative searchlight on the activities of the
Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), including payments made to transporters in the last 10 years;
(d) Enquire from the NNPCL the state/status of the 22 depots built by the defunct NNPC to eliminate road distribution of petroleum products;
(e) Engage with stakeholders within the oil and gas industry with a view to identifying possible gaps in regulating and strengthening the surveillance and monitoring structures in place to enable Nigeria to detect violations of best practice standards in the importation of products before they enter into the domestic supply chains;
(f) Also engage with the NNPCL with a view to understanding the extent of its determination and timelines for the start-up of government-funded oil refineries;
(g) Investigate how institutions across the importation and distribution chain failed to conduct quality sampling, shipped in products without auditing, and performed
port validations by the Nigeria Customs Service, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Nigerian Maritime Administration and Safety Agency, Standards Organization of Nigeria (SON); and Nigerian Ports Authority (NPA): and (h) Such other consequential amendments the Adhoc
Committee deems fit.
- Members of the Ad-Hoc Committee immediately rolled up their sleeves, met on several occasions to determine the best ways to achieve its mandate, and collectively resolved to sacrifice a portion of their recess period to carry on with the assignment devoid of bias in the overall national and public interest. This commitment led to the inauguration of the Ad-Hoc Committee by the President of the Senate, His Excellency Senator Obot Akpabio, GCON, on Monday, July 22, 2024.
- The Ad-Hoc Committee has identified some critical stakeholders to interact with in the course of discharging this noble assignment. They include:
Hon. Minister of State for Petroleum (Oil)
Federal Ministry of Finance
Federal Ministry of Trade and Investment
Nigerian National Petroleum Company Limited (NNPCL)
(National Engineering and Technical Company Limited (NETCO) and Contractors)
Central Bank of Nigeria (CBN)
Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA)
Nigerian Upstream Petroleum Regulatory Commission (NUPRC)
Standards Organization of Nigeria (SON)
Nigerian Maritime Administration and Safety Agency
(NIMASA)
Nigeria Customs Service
Nigerian Navy
OBAT Oil
Matrix Energy Depot
Independent Petroleum Marketers Association of Nigeria (IPMAN)
International Oil Companies (IOCs)
Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN)
Major Oil Marketers Association of Nigeria (MOMAN)
Nigeria Ports Authority (NPA)
Dangote Group
Modular Refineries
Capital Oil.
” It is pertinent to note that in the course of interactions with the identified stakeholders, the Ad-Hoc Committee will visit any of their facilities that it deems
necessary, especially the state-owned refineries, to ascertain their status, considering the huge funds already invested in their various Turn Around Maintenances-year in, year out-without any meaningful result. The Committee, along with Nigerians, is particularly interested in understanding why local refineries are not working despite the substantial amounts of money spent annually on their maintenance and operations. We will closely examine what the Nigerian National Petroleum Corporation Limited (NNPCL) has been doing to address this persistent problem”.
“Additionally, the Committee will meet with stakeholders in their various zones to gather localized insights and feedback. To ensure broad participation and transparency, the Committee will create a platform for the general public and stakeholders to submit memoranda before the public hearings.”
” Our investigation seeks to identify and hold accountable parties involved in the importation and distribution of the adulterated Petroleum Products (PMS and AGO). This includes suppliers, importers, regulatory bodies, and any other entities that may have contributed to this serious lapse in quality control”
” We will conduct a thorough review of current regulatory frameworks and procedures to identify deficiencies and recommend necessary reforms to prevent such occurrences in the future. The Committee is committed to ensuring the highest standards of fuel quality for the Nigerian market”
” The public hearing will be held as from September 10th 12th, 2024. The sessions will enable us to engage directly with key actors in the petroleum industry and unravel those behind the illicit practice of importing hazardous and substandard petroleum products into the country contrary to established protocols and
standards. After the public hearing, the committee will go into close sessions during which we consider all the submissions from the key actors, draft our report and the eventual adoption of the reports”
“The Senate Ad-Hoc Committee on Alleged Economic Sabotage in the Petroleum Industry assures the public that we will pursue this investigation with the utmost diligence and integrity. We are dedicated to safeguarding the interests of all Nigerians and restoring confidence in our energy sector”.
” We call on all relevant stakeholders to cooperate fully with our investigation. Together, we can ensure that such an incident does not re-occur and that the integrity of our fuel supply chain is maintained and the timelines for the start-up of funded oil refineries, are determined”
” May I categorically state that this Ad-Hoc Committee is not meant to witch hunt any individual or group of people, or corporation, but rather to find a lasting solution for our collective mutual gains. To this regard, the Ad-Hoc Committee seeks the cooperation of stakeholders in order not to jeopardize the good intention of the Senate”
“Our mandate is of strategic national interests. Each member of the committee is carefully selected based on his/her records of sterling performance. We are all men of integrity who will never pursue selfish interests at the expense of the national interests. The Senate did not constitute this committee to intimidate and witch-hunt any party. Rather, the committee was constituted for the purpose of ensuring social and economic justice in the light of grim realities we are facing as a federation”
“We are also taking this task seriously with a view to addressing fundamental issues that pose grave threats
to our economic prosperity, fiscal stability and public health as a federation. In line with our mandate, we will definitely unravel the roots of economic sabotage in Nigeria’s petroleum industry and make necessary recommendations that will entrench global best practices in the industry and open it up for more investments, especially in the midstream and downstream sectors. We are utterly committed to this -mandate. We shall also carry out this national -assignment without fear or favour. We shall be fair and just to all parties with a view to promoting and protecting the strategic national interests of our fatherland”
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